Apple board members receive restricted stock grants worth more than $253K

AppleInsiderAppleInsider
Posted:
in AAPL Investors edited March 2017
Each member of Apple's board of directors recently received an automatic grant of restricted stock units currently worth more than $253,000, U.S. Securities and Exchange Commission filings show.




Meted out on Tuesday as part of Apple's 1997 Director Stock Plan, Arthur D. Levinson, James Bell, Al Gore, Rogert Iger, Andrea Jung, Ronald Sugar and Susan Wagner all received 1,852 restricted stock units worth just over $253,600 at the close of trading on Thursday. Assuming continued service, the board members will see the RSU batch vest on Feb. 1, 2018.

As usual, CEO Tim Cook, who is also a member of Apple's board, did not receive director incentives pursuant to his own compensation plan.

The automatic stock grant was accomplished on the same day as Apple's recent shareholder meeting in Cupertino, Calif., where Cook discussed the company's financial health in a "state of the company" report. Aside from touting the success of currently available products like iPhone, iPad and AirPods, Cook fielded questions and concerns from shareholders present at the meeting, including the company's recent involvement in the political sphere.

Apple shareholders also voted on a number of proposals, ratifying a pair of advisory resolutions regarding executive compensation including one that allows future votes on the matter to take place every year.

A more controversial measure seeking to diversify Apple's senior management was shot down for the second year in a row. The proposal, which would force the company to recruit "people of color" to high-ranking positions, captured less than 6 percent of the total vote, meaning it and similar actions are not eligible for consideration for the next three years.

Comments

  • Reply 1 of 7
    baconstangbaconstang Posts: 1,141member
    How nice.   A tip for hitting a 52 week high?
  • Reply 2 of 7
    carnegiecarnegie Posts: 1,078member
    baconstang said:
    How nice.   A tip for hitting a 52 week high?
    These grants are more or less automatic based on an existing compensation plan for directors.

    Each non-employee director (i.e. all of the directors other than Mr. Cook, because he's the CEO) is awarded $250,000 worth of RSUs on the date of Apple's annual meeting. They actually got fewer shares this year because the stock price was higher. Then again, the shares they were awarded last year were worth more when they vested (on February 1st) due to a higher stock price.

    The total annual compensation for non-employee directors (other than the Chairman of the Board) is between $350,000 and $400,000, depending on which committees they chair. The Chairman of the Board's total annual compensation is around $550,000. 
  • Reply 3 of 7
    randominternetpersonrandominternetperson Posts: 3,094member
    sog35 said:
    carnegie said:
    baconstang said:
    How nice.   A tip for hitting a 52 week high?
    These grants are more or less automatic based on an existing compensation plan for directors.

    Each non-employee director (i.e. all of the directors other than Mr. Cook, because he's the CEO) is awarded $250,000 worth of RSUs on the date of Apple's annual meeting. They actually got fewer shares this year because the stock price was higher. Then again, the shares they were awarded last year were worth more when they vested (on February 1st) due to a higher stock price.

    The total annual compensation for non-employee directors (other than the Chairman of the Board) is between $350,000 and $400,000, depending on which committees they chair. The Chairman of the Board's total annual compensation is around $550,000. 
    Its nuts these people get paid hundreds of thousands for doing absolutely nothing. Well, maybe they meet once a year in a nice hotel. Ridiculous.

    The Apple BOD do nothing. 

    I think they have to meet quarterly and maybe even have monthly conference calls.  As they say, it's a good gig if you can get it.
    baconstang
  • Reply 4 of 7
    lkrupplkrupp Posts: 10,557member
    sog35 said:
    carnegie said:
    baconstang said:
    How nice.   A tip for hitting a 52 week high?
    These grants are more or less automatic based on an existing compensation plan for directors.

    Each non-employee director (i.e. all of the directors other than Mr. Cook, because he's the CEO) is awarded $250,000 worth of RSUs on the date of Apple's annual meeting. They actually got fewer shares this year because the stock price was higher. Then again, the shares they were awarded last year were worth more when they vested (on February 1st) due to a higher stock price.

    The total annual compensation for non-employee directors (other than the Chairman of the Board) is between $350,000 and $400,000, depending on which committees they chair. The Chairman of the Board's total annual compensation is around $550,000. 
    Its nuts these people get paid hundreds of thousands for doing absolutely nothing. Well, maybe they meet once a year in a nice hotel. Ridiculous.

    The Apple BOD do nothing. 
    Their job is to oversee the CEO and top management to make sure they are performing their duties in the best interests of the company and its shareholders. Only the BOD can fire the CEO. Of course CEOs try to stack the BOD with members who share the CEO’s vision. Control your hate.
  • Reply 5 of 7
    SpamSandwichSpamSandwich Posts: 33,407member
    sog35 said:
    carnegie said:
    How nice.   A tip for hitting a 52 week high?
    These grants are more or less automatic based on an existing compensation plan for directors.

    Each non-employee director (i.e. all of the directors other than Mr. Cook, because he's the CEO) is awarded $250,000 worth of RSUs on the date of Apple's annual meeting. They actually got fewer shares this year because the stock price was higher. Then again, the shares they were awarded last year were worth more when they vested (on February 1st) due to a higher stock price.

    The total annual compensation for non-employee directors (other than the Chairman of the Board) is between $350,000 and $400,000, depending on which committees they chair. The Chairman of the Board's total annual compensation is around $550,000. 
    Its nuts these people get paid hundreds of thousands for doing absolutely nothing. Well, maybe they meet once a year in a nice hotel. Ridiculous.

    The Apple BOD do nothing. 

    I think they have to meet quarterly and maybe even have monthly conference calls.  As they say, it's a good gig if you can get it.
    Joining Boards of Directors seems to be a decent second income stream for many of these people. I've always found the practice to be a bit slimy and a game of backscratching for insiders. Their self-interest is only for stock options and compensation for being on the BOD. Beyond that, they really have no skin in the game or concerns about the company. Just sitting idly on a BOD isn't reason enough to bring in these people. In addition, these people leak information to suit their own agendas.
    edited March 2017
  • Reply 6 of 7
    mpantonempantone Posts: 2,149member
    lkrupp said:
    sog35 said:
    carnegie said:
    How nice.   A tip for hitting a 52 week high?
    These grants are more or less automatic based on an existing compensation plan for directors.

    Each non-employee director (i.e. all of the directors other than Mr. Cook, because he's the CEO) is awarded $250,000 worth of RSUs on the date of Apple's annual meeting. They actually got fewer shares this year because the stock price was higher. Then again, the shares they were awarded last year were worth more when they vested (on February 1st) due to a higher stock price.

    The total annual compensation for non-employee directors (other than the Chairman of the Board) is between $350,000 and $400,000, depending on which committees they chair. The Chairman of the Board's total annual compensation is around $550,000. 
    Its nuts these people get paid hundreds of thousands for doing absolutely nothing. Well, maybe they meet once a year in a nice hotel. Ridiculous.

    The Apple BOD do nothing. 
    Their job is to oversee the CEO and top management to make sure they are performing their duties in the best interests of the company and its shareholders. Only the BOD can fire the CEO. Of course CEOs try to stack the BOD with members who share the CEO’s vision. Control your hate.
    Correct.

    Shareholders elect the Board of Directors who in turn are responsible for making sure the right management team is in place to increase shareholder value.

    If you don't like the people sitting in the executive suite, blame the people who elected that person(s) to that position(s). And not just Apple Inc. That goes for other offices as well.

    edited March 2017 baconstang
Sign In or Register to comment.